Monday saw a slight increase in U.S. Treasury yields as investors braced themselves for this week’s Federal Reserve policy meeting.
The yield on the 30-year Treasury bond was just under a point higher at 4.3339%, while the yield on the benchmark 10-year Treasury note was just over a single basis point higher at 4.2563%. Price movement is inverse for yields.
Awaiting the Federal Reserve meeting this week, traders are watching for clues about when the policymakers will start lowering interest rates.
The University of Michigan’s consumer data, which suggested robust economic activity and declining inflation and stoked hopes of the much-desired “soft landing” scenario in the United States, gave rise to a spike in risk sentiment on Friday. This occurred following the unexpected decline in unemployment reported in November’s U.S. jobs report.
On Monday at 11 a.m. ET, the reading for November’s consumer inflation expectations is anticipated.
The same day, auctions for $75 billion of 13-week Treasury bills, $68 billion of 26-week bills, $50 billion of 3-year notes, and $37 billion of 10-year notes will all take place.
